The iShares S&P 500 Index (ETF) (NYSEARCA:IVV) invests at least 90% of its funds in the S&P 500 and tries to mimic its activity. It invests the rest of its funds in specific futures, options, swap contracts, cash and cash equivalents, and in stocks not represented in the index but in those believed to represent its activity. The fund is managed by iShares and has a total asset value of $66.87 billion. The fund has an average annual return of 4.34% since its inception in 2000.
The top holdings in the IVV are Apple Inc., Microsoft Corp, Exxon Mobil Corporation, Johnson and Johnson, General Electric Co, and Facebook Inc, which represent 3.18%, 2.58%, 1.90%, 1.69%, 1.61%, and 1.49% of the fund respectively. From January 12, 2016 to February 9, 2016, the IVV ETF went from $194.52 to $186.24, marking a -4.26% change.
Last Friday, the Dow Jones Industrial Average, NASDAQ, and S&P 500 fell 211.61, 35.40, and 146.31 points, respectively, as a result of the January jobs report. The report indicated that only 151,000 new jobs were created in January in the U.S., missing the 190,000 forecasted. This figure is a possible indication of a decline in the overall U.S. economy at a key time before the expected Fed Rate hike in March. However, markets are expected to turn around as they often do after a period of volatility. As a result of this market decline, the IVV’s decrease since January 12, 2016 (4.26%) is in line with both the VTI, which fell 4.99%, and the VOO, which fell 4.20% in one month. Friday marked a 1.91% decline in the IVV since the previous trading day.
Many of the fund’s major holdings, as part of the index, took a similar tumble on Friday, including Apple, down 2.67% since the previous trading day; Microsoft Corporation, down 3.54% since the previous trading day; Johnson and Johnson, down 3.23% since the previous trading day; General Electric, down 2.19% since the previous trading day; and Facebook, down 5.81% since the previous trading day. Exon Mobile, however, rose a slight 0.31% since the previous trading day due to small price fluctuations in oil prices, which ranged from $30.92 to $32.45 on Friday.
Based on the 10 top holdings, the average Wall Street Analyst Consensus on these stocks is Hold while average blogger sentiment is Buy.